The freight forwarding sector faced significant challenges in 2023, experiencing a notable downturn due to a global economic slowdown, rising inflation, reduced consumer demand, and geopolitical conflicts disrupting supply chains. Gross logistics revenues for forwarders declined sharply compared to 2022, with the international transportation management segment reporting a 34.2% drop in net revenue to $28 billion. Analysts suggest that to remain competitive, forwarders must invest in technology, pursue acquisitions, and focus on high-margin sectors like pharmaceuticals and semiconductors. Major players like Kuehne + Nagel and DSV continue to lead despite these challenges.

Source: https://www.logisticsmgmt.com/article/top_freight_forwarders_2024_preparing_for_the_upturn/